Global Energy Drive Will Ensure Copper Demand Not Likely To Let Up Any Time Soon: Cobre Montana

There will be no let-up in global demand for copper for a very long time as the cycle will be driven by the ongoing expansion of conventional and non-conventional power plants, according to Australian copper developer, Cobre Montana.

Addressing the second day in Sydney today of the Paydirt 2014 Latin America Downunder Conference, Cobre Managing Director, Mr Adrian Griffin, said global energy demand is expected by 2015, to double that of the 1980s.

“The 80s saw major new power plants being opened around the world about one every 17 days,” Mr Griffin said.

“New analysis suggests that in the decade beyond 2015, that rate will rise to one every five days or so.

“Power plants and the economies they feed – whether nuclear, coal, hydro or other fuel feedstocks – are large consumers of copper.

“Therefore it will be that energy demand which will be a major factor in underpinning the long-term demand for copper, despite the current price pressures for the red metal.”

Perth-based Cobre has the right to earn a 65% interest in the re-activation of the Mantos Grandes copper mine in Chile. The mine has proven grades up to 6.84% Cu with many of its channels averaging around 3.5% Cu.

The Company has commenced the preliminary field evaluation of a nearby new porphyry discovery just 3 kilometres north of the original mined ore body. It is also developing a second copper project in Chile – Piedrecillas, south of Santiago.

Mr Griffin backed Chile’s copper credentials and opportunities, noting that the 60% of the country’s export revenue comes from copper. Its tectonic zone also hosted nine of the world’s top 10 copper producers, and copper reserves.

“The Chilean Government has also put its money where its mouth is, with the $4billion per annum backing for Codelco’s copper developments there.”